What is the maximum interest rate that Zoomin Groomin charges, as allowed in California?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
The amount of interest charged will not exceed the maximum amount allowed by state law. The highest interest rate allowed in California is 10%.
Source: Item 17 — g. of the Disclosure Document is modified to state that, in addition to the grounds for immediate termination specified in Item 17.h., the franchisor can terminate upon written notice and a 60 day opportunity to cure for a breach of the Franchise Agreement. (FDD pages 51–65)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the maximum interest rate that Zoomin Groomin can charge in California is 10%. This limit is set by state law, and Zoomin Groomin states that it will not exceed this maximum.
For a prospective Zoomin Groomin franchisee in California, this means that any outstanding payments or debts owed to the franchisor will accrue interest at a rate no higher than 10% per year. This is important to consider when evaluating the financial obligations outlined in the franchise agreement. Franchisees should be aware of this limit and ensure that any interest charges comply with California law.
It is important for franchisees to understand the specific terms and conditions related to interest charges, including when interest begins to accrue, how it is calculated, and any potential penalties for late payments. Reviewing the franchise agreement carefully and consulting with a legal or financial professional can help franchisees make informed decisions and avoid potential disputes related to interest rates.